SEOUL, Aug. 30 (Yonhap) — JYP Entertainment, the home for top-rung girl band TWICE, beat its long-time rival SM Entertainment to emerge as the biggest entertainment firm by market capitalization for the first time in nearly two decades this week.

Following steady growth since early this year, shares of JYP finished at 31,300 won (US$28.20) on the tech-intensive KOSDAQ bourse on Thursday, up 2.29 percent from a day earlier.

It was the first time the market cap of JYP finished higher than that of SM, the unchallenged No. 1 in entertainment so far, in JYP’s 17-year history on the KOSDAQ stock index since its listing in 2001.

JYP started as the third in line following YG Entertainment, the label for sensational K-pop groups like BLACKPINK and BIGBANG, before it ascended to the No. 2 seat in January in terms of market capitalization.

It marks a sixfold growth in a year and a half since JYP shares hit their rock bottom of 4,605 won in early February last year.

It was a dream-come-true moment for JYP founder and president Park Jin-young, also known as J.Y. Park, attributable to his efforts to decentralize his decision-making power as the founder and chief producer of JYP, as well as to the sensational success of TWICE and other JYP-formed bands.

Voicing his ambition to attain 1 trillion in market capitalization four years ago, Park stressed his aim to do away with the production system reliant on one influential decision-maker prevalent in the local K-pop production scene.

As part of the renovation efforts, Park formed an in-house panel of judges to which he transferred his authority to select title songs and the concept and choreography for JYP bands.

TWICE debuted in October 2015 against the backdrop of JYP’s systemic renovation and went on to win sensational global fame, propelling JYP’s ascent.

GOT7, a boy band which debuted in 2014, and new boy group Stray Kids have also been cited as the driving force for JYP going forward.

JYP’s single-minded focus on music production, rather than following its rivals to expand into food, cosmetics and other business areas, is another important element in JYP’s recipe to success.

“What is promising with JYP is their overseas affiliates,” JYP’s official in charge of investment relations said. “Its Chinese branch, JYP China, in collaboration with Tencent Music Entertainment (in China), will debut Boy Story composed of Chinese members in September,” the official said.

JYP is also planning to launch a new girl band of Japanese members as early as the second half of next year, according to the official.

The breathtaking success of K-pop band BTS, formed by medium-sized rival Big Hit Entertainment, has also been a boon for Korean music labels and management agencies in general, allowing more K-pop artists more exposure to global audiences.

This image of JYP’s new headquarters in eastern Seoul was provided by JYP Entertainment. (Yonhap)